1. Position Paper for Slovenia
Position of the Commission Services on
the development of the Partnership Agreement and Programmes in Slovenia
for the period
Launch Event in Ljubljana
29 November 2012

2. Introduction
Strong alignment with the Europe 2020 strategy, thematic concentration and performance incentives
Common Strategic Framework (CSF) funds to jointly foster competitiveness, convergence and cooperation at all levels
Need for strong prioritisation and result orientation
Cooperation at all levels is key
Planning and implementation of CSF funds have to break through artificial bureaucratic boundaries in the next programming period and develop a strong integrated approach for mobilizing synergies and achieving optimal impact both within countries and across borders.
The Europe 2020 objectives must be mainstreamed across the different CSF Funds, each of them bringing their contribution to smart, sustainable and inclusive growth.
There is also a need to concentrate future EU spending on priority areas to maximise the results to be obtained, rather than spreading funding to thinly.
We need strong prioritisation and orientation on results.
We now have two active macro-regional strategies in place for the Baltic and the Danube regions. These strategies should form an integral part of programming for the next period. Cooperation within regions, within countries and across borders will help to deliver more effective results of our policies, so we should look for the benefits of cooperation in every policy measure we are planning.

3. Partnership Agreement/Contract - Commission Services' Position Paper
Framework for dialogue between Commission services and Slovenia
Key challenges and funding priorities linked to Europe 2020 objectives and Country Specific Recommendations for Slovenia
Optimise the use of CSF funds and concentrate future spending on priority areas
The steps ahead
Another new element is that the Commission services have taken a more pro-active approach in identifying up front the most urgent development needs and priorities as linked to the EU2020 objectives for each Member State and not to wait until the submission of the Draft Partnership Agreements by each Member State.
This opinion is summarized in the so called Position Papers.
The purpose of this Position Paper is to set out the framework for the informal dialogue between the Commission and Member State on the preparation of the Partnership Agreement and Programmes.
Timely adoption of the OPs!
What do Commission services see as the main priorities for investment for Member State?

4. Economic situation in Slovenia
Slovenian economy hard hit by the crisis, limited business prospects
Unemployment forecast: 8.4% in 2012, peak at 9.4% in 2013
Regional disparities remain important in Slovenia:
GDP per head of almost 129% of the EU average in the capital city region of Osrednjeslovenska
GDP per head of only 59.3% of the EU average in the Zasavska region

5. Europe 2020 headline targets
Current situation in Slovenia
National 2020 target in the NRP
3% of EU's GDP to be invested in research and development
2.11% (2010) 3%
20% greenhouse gas (GHG) emissions reduction compared to 1990
- 2% (2010 emissions
compared to 2005)
+17% (2020 projections
+ 4%
(national binding target for non-ETS sectors compared to 2005)
20% of energy from renewables
19.8% (2010)
25%
20% increase in energy efficiency
n.a.
Target not available yet
75% of population aged should be employed
68.4% (2011)
75%
Reducing early school leaving to less than 10%
4.2% (2011)
max. 5%
At least 40% of years old should have completed a tertiary or equivalent education
37.9% (2011)
40%
Reducing the number of people at risk of poverty or exclusion by 20 mill. in the EU
No progress
people
(with ref. year: 2008)

6. Low labour market participation Inefficient use of resources
Main challenges
Low labour market participation
Burdensome business environment hindering competitiveness on domestic and export
markets
Inefficient use of resources

7. (employment rate of people aged 55-64 across the EU)
Challenge: Low labour market participation Untapped labour market potential of older workers
(employment rate of people aged across the EU)
2011 performance
2000 performance %
Source: Eurostat

8. Risk of poverty below the EU average…
At-risk of poverty in the EU, 2011, % of total population

9. Some groups are at higher risk of poverty
At-risk-of-poverty rates by vulnerable groups in Slovenia, 2011*
*At risk of poverty rate : cut-off point: 60% of median equivalised income after social transfers
Source: EU-SILC 2011

10. Responsiveness of the education and training system to labour market
Incidence of self-reported skill mismatch, % of employees, 2010

11. Funding priority n°1: Increase labour market participation through employment, education & social inclusion
Enhance labour market participation of the most vulnerable groups
Improve employment and income opportunities, as well as social inclusion of vulnerable groups
Improve matching of labour market skills supply and demand

12. Enhance labour market participation of the most vulnerable groups
1. Access to employment for job-seekers and inactive
Increase employment of older and young workers, low-skilled and long term unemployed
Provide targeted and tailored training, validation of skills
2. Active and healthy ageing
Promote elderly friendly work organisation
Support healthier working lives
3. Promoting development and job creation in rural and coastal areas
• Support creation of new small enterprises and job creation
• Support labour mobility 12

13. Improve employment and income opportunities, as well as social inclusion of vulnerable groups
1. Active inclusion
Reinforce measures to help people return to employment
Provide integrated employability measures
Improve cost-effectiveness/adequacy of social and unemployment benefits, while minimising traps effects
2. Enhance access to affordable, sustainable and high quality services
• Healthcare services and reduce inequalities
• Long-term care services (deinstitutionalisation)
3. Promote social inclusion, poverty reduction and economic development in rural areas
Foster community-led local development initiatives
Support social farming 13

14. Improve matching of labour market skills supply and demand
1. Enhance access to life-long learning, upgrade skills of the workforce and increase labour market relevance of education and training systems
Participation in lifelong learning of older workers, low skilled and long term unemployed
Implement life-long learning strategies for the workforce
Promote vocational education and training
Promote partnerships between social partners, enterprises, education institutions
2. Foster knowledge transfer and innovation in agriculture, forestry and rural areas 14

15. Challenge: Burdensome business environment hindering competitiveness
Insufficient "knowledge triangle", access to finance and entrepreneurship
Better connections between research and entrepreneurial sectors
Low level of productivity, barriers to internationalisation
Insufficient focus on strategic sectors and key enabling technologies
Railway network not competitive enough
Freight haulage, modal shift
Reduction of greenhouse gas emissions
Inefficiencies in the public administration
Weak institutional capacity (e.g. business environment, public procurement, competition etc.)
Lack of coordination
Cumbersome spatial planning procedures

16. Funding priority n°2: Competitive economy for growth & jobs in a business-friendly environment (including infrastructure)
Foster an effective "knowledge triangle" & innovation processes
Facilitate access to finance, promote entrepreneurship and exploit new business opportunities
Develop a modern and competitive rail network
Improve efficiency of public administration and, where appropriate, institutional capacity

17. Foster an effective "knowledge triangle" and innovation processes
1. Enhance research and innovation activities
Promote cooperation between private and public sector institutions into joint research projects
2. Promote research & innovation investments, product and service development, technology transfers, networking
Implement a comprehensive smart specialisation strategy with focus on specific strengths and potentials in strategic sectors and key enabling technologies

18. Facilitate access to finance, promote entrepreneurship & exploit business opportunities
1. Promote entrepreneurship by facilitating the economic exploitation of new ideas and fostering the creation of new firms
Develop a tailor-made offer of financial instruments, including the provision of start-up capital
Establish business advisory services
Support business development and higher quality products to enhance competitiveness, viability and sustainability, also in the agricultural, fisheries and aquaculture sector
2. Develop new business models for small and medium-sized enterprises
Enhance the internationalisation of activities while taking their size into account

19. Develop a modern and competitive rail network
1. Improve the quality of railway infrastructure and planning
Increase speed on the railway network and main rail corridors
Ensure the development of the European Rail Traffic Management System
Strengthen institutional capacity in preparation, prioritisation and smooth implementation of strategic railway projects
2. Enhance regional mobility by upgrading the secondary rail network and connectivity to main network
3. Develop sustainable transport systems
Improve the quality of public transport, including interoperability
Support modal shifts from road to rail

20. Improve efficiency of public administration and institutional capacity
1. Investment in institutional capacity and the efficiency of public administrations and public services
Ensure efficient implementation of public policies (quality of civil justice procedures, enforcement of competition etc.)
Establish a framework for state-owned enterprises and improve bankruptcy procedures
Improve preparation and implementation of public procurement
2. Capacity-building for stakeholders delivering employment, education, health and social policies, and sectorial and territorial pacts to mobilise for reform

21. Challenge: Inefficient use of resources
Energy efficiency, renewable energy sources and smart grids
Energy efficiency still very low
Share of renewable energy sources in gross final energy consumption below the target of 25% (20% in 2010)
The national transmission grid is becoming a bottleneck
Resource efficiency
Waste management and recycling infrastructures
Sensitive areas and biodiversity
Mountain areas and areas with specific handicaps
High nature value areas/Natura 2000 areas
Climate change
Increased production risks
Increasing natural disasters 21

22. Funding priority n°3: Environment-friendly and resource-efficient economy
Energy-efficient sectors with low greenhouse gas emissions and expanded smart grids
Enhanced waste treatment and recycling facilities
Environmental protection and improved management of natural resources 22

23. Energy-efficient sectors with low greenhouse gas emissions and expanded smart grids
1. Promote environmentally-friendly energy production from renewable energy sources and the reduction of greenhouse gas emissions
Increase investments in renewable energy sources
Increase energy-efficiency in businesses, public infrastructures, private housing and agricultural holdings
Expand smart distribution systems at low voltage levels (smart grids and smart metering)
Enhance natural carbon sequestration
2. Promote low-carbon strategies for urban areas
Sustainable urban mobility 23

24. Enhanced waste treatment and recycling facilities
1. Investments in the waste and water sectors to meet the requirements of the environmental acquis
Implement the waste hierarchy by giving priority to prevention, re-use and recycling
Complete and ensure the proper running of infrastructure for collection and biological treatment of waste water
Protect drinking water sources and ensure quality monitoring
Implement an integrated approach and water-efficiency measures in the main water-consuming sectors
2. Investments to improve the urban environment 24

25. Environmental protection and improved management of natural resources (I)
Preserve biodiversity and improve soil, air and water management (targeted agri-environment schemes)
Promote environmentally sound farming systems, support farming in less-favoured areas and enhance sustainable forest management
Promote sustainable
management of Natura 2000
and High Nature Value areas
Support ecosystem based
approaches, green corridors
and green infrastructure 25

26. Environmental protection and improved management of natural resources (II)
Ensure resilience to negative impacts of climate change
Improve flood prevention
and support risk management
Protect and restore marine
and costal biodiversity and
ecosystems 26

27. Success factors (ex-ante conditionalities)
Research and innovation strategy for smart specialisation
Comprehensive transport plan, including railway development
National strategies for active ageing policies and for combatting poverty
Strategy for reinforcing Slovenian administrative efficiency, including a public administration reform
Effective implementation of EU acquis in sectors of waste and water management, as well as energy-efficiency and renewables
Administrative capacity for data collection for fisheries management and the implementation of a Union control, inspection and enforcement system
National multiannual plan for aquaculture
Improvement in the preparation/management of public tenders 27

28. European Territorial Cooperation
Transnational and cross-border approaches
Remove main bottlenecks in transport
Remove barriers to labour mobility
Transfer of good practices, especially in innovation, research and development or business environment
Promote climate change adaptation, risk prevention and management
EU Strategy for the Danube Region
Improve national coordination among the respective ministries in Slovenia
Stronger participation in different Priority Areas
Maritime Adriatic and Ionian Strategy
Maximize the potential of the blue economy 28

29. Negotiation process for Partnership Agreement/Contract (PA)
Position paper sent to Slovenia
Launch event
Informal dialogue with Slovenia (working groups)
Slovenia sends PA through SFC
Negotiation mandate / observations sent to Slovenia
CPR adopted
2012
2013
October November December